Cato exceeds guidance in Q2; scales back store openings

Charlotte, N.C. -- The Cato Corporation reported that net income rose 6% to $15.7 million for the second quarter ended Aug. 2, from $14.8 million last year.



Sales increased 6% to $243.8 million, from $229.4 million last year. Same-store sales increased 3%.



"Second quarter same-store sales were in line with our year-to-date trend," said John Cato, CEO. "However, we continue to expect the second half earnings per diluted share will be within our original guidance range.”



During the first half, Cato opened 11 new stores, relocated one store and closed three stores. The retailer said it now expects to open 46 stores, down from the original plan of 65.